Kirin Holdings Co has cut its full-year outlook due to low sales and the rising cost of raw materials.

The company, which stands closely behind Asahi for the lead in sales in the Japanese beer market, said today (1 November) that it has cut its full-year outlook by 3% after reporting a 2.2% decrease down to JPY114bn (US$987.7m) from JPY117bn in the first nine months of the year.

Yesterday, Kirin said it is being forced to raise its beer and drinks prices next year after the cost of imported malt more than doubling alongside the hiked price of aluminium.

"Although the group is reducing marketing expenses and implementing a range of other cost saving measures, performance is forecast to be affected mainly by downward revision of sales volume target in the domestic alcohol beverage business, " the company said.

Yesterday, Kirin said it is being forced to raise its beer and drinks prices next year after the cost of imported malt more than doubling alongside the hiked price of aluminium.

Kirin Brewery Co., Kirin Beverage Co. and Suntory recently announced that they had teamed up in an effort to conserve resources and reduce packaging costs. The three Japanese companies plan to synchronise their aluminium can requirements, and jointly purchase cardboard packaging. The introduction of the uniformed cans, which narrow towards the top, will result in an estimated saving of around JPY100m (US$876.7m) per year, the companies said.